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3 years ago

If a seller in a competitive market chooses to charge more than the going price, then:

Business

1 answer:

attashe74 [19]3 years ago

3 0

Answer:

d. buyers will make purchases from other sellers

Explanation:

In the perfect competition structure producers have no power to change prices, as goods are homogeneous. Thus, since products are the same, if the producer raises the price, consumers will consume with other sellers.

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The WeKnowThisStuff Company issued a $1,000 par value, 6% coupon, 8 year bond. The interest is paid semiannually and the market

Stella [2.4K]

Answer:

$1,032.01

Explanation:

Given:

Face value of bond (FV) = $1,000

Coupon rate = 6% annual rate or 6% / 2 = 3% semi-annual rate

Coupon payment (pmt) = 0.03 × $1,000

= $30

Rate = 5.5% annually or 5.5 / 2 = 2.75%

Time period (nper) = 8 × 2 = 16 periods

Current value of bond is present value of bond which can be computed using spreadsheet function =PV(rate,nper,pmt,FV)

So, present value of bond is $1,032.01.

PV is negative as it's cash outflow.

8 0

3 years ago

If the nominal exchange rate between the US dollar and the Canadian dollar is C $ 0.89 to the US dollar, how many dollars is req

Olin [163]

Answer:

1) 2.8 USD

2)There are several methods:

1) Modifying Reserve Requirements

2) Changing Short-Term Interest Rates

3) Conducting Open Market Operations

Explanation:

I) First of all, the nominal exchange rate describes how much foreign currency can be exchanged for a unit of domestic currency, but the real exchange rate indicates how much the goods and services in the domestic country can be exchanged for the goods and services in a foreign country.

If 1USD=0.89CAD, then 1 CAD=1/0.89=1.12USD

Then 2.5 CAD = 2.5*1.12= 2.8 USD so we will need 2.8 USD to get 2.5 CAD.

II) As we know, the movement of the money supply is the responsibility of the monetary policy activities by central banks. There are several methods:

1) Modifying Reserve Requirements: means that it is possible to influence by modifying the reserve requirements to increase or decrease the money supply. More deeply, this modification refers to the amount of funds banks have to keep against deposits in bank accounts. By lowering the reserve requirements, banks are able to loan more money, which grow the overall supply of money in the economy. Conversely, by increasing the banks' reserve requirements, it will be possible to decrease the size of the money supply.

2) Changing Short-Term Interest Rates: means that it is possible to change the interest rates in short terms to alter the money supply. It’s all about the changing the discount rates. By lowering the rates, it is possible increase the money supply and boost economic activity.

3) Conducting Open Market Operations: means that it is possible to increase or decrease the money supply conducting open market operations, which affects the funds rate. So the authority who deals with the monetary policy buys and sells government securities in the open market. If the authority wants to increase the money supply, it will purchase government bonds as a result this supplies the securities dealers who sell the bonds with cash, increasing the overall money supply. However, if the authority wants to decrease the money supply, it will send bonds from its account, thus taking in cash and removing money from the economic system as a result, adjusting the funds rate is a heavily anticipated economic event.

3 0

3 years ago

On January 1, 2018, Race Corp. acquired 80% of the voting common stock of Gallow Inc. During the year, Race sold to Gallow for $

harkovskaia [24]

Answer:

net income attributable to the non controlling interest is $40800

Explanation:

Given data

Race sold = $450000

cost = $330000

owned = 15%

net income = $204000

Race net income = $806000

to find out

net income attributable to the non controlling interest

solution

we find the non controlling interest

so we apply formula for non controlling interest that is

non controlling interest of income = net income × (100% - 80%)

put here value of net income

non controlling interest of income = net income × (20%)

non controlling interest of income = 204000 × (20%)

non controlling interest of income = 40800

so net income attributable to the non controlling interest is $40800

8 0

3 years ago

A factory worker earns $500 per week and will receive a $2,000 bonus at year-end, a 2-week paid vacation, and 5 paid holidays. T

Scorpion4ik [409]

Answer:

$70

Explanation:

Data provided in the question:

Earnings per week = $500

Bonus received per year = $2,000

Paid vacation = 2 weeks

Paid holidays = 5

Now,

Since the workers have 2 weeks of vacation the fringe benefit will be calculated for 50 weeks

[as 1 year have 52 weeks, so 52 - 2 weeks = 50 weeks]

Now,

Bonus per week = $2,000 ÷ 50 weeks

= $40 per week

Vacation pay for the year = Earning per week × Total vacation per year

= $500 × 2 weeks = $1,000

Thus,

Vacation pay per week = $1,000 ÷ 50 weeks

= $20 per week

since there are 5 days working in a week

Holiday pay per day = $500 ÷ 5 days

= $100 per day

Thus,

Total holiday pay for a year = Holiday pay per day × total holidays per year

= $100 × 5

= $500

Therefore,

Holiday pay per week = $500 ÷ 50 weeks

= $10 per week

Hence,

Combined amount of accrual

= $40 + $20 + $10

= $70

5 0

3 years ago

Which of the following activities are typically included in a project kick-off meeting?

ASHA 777 [7]

Answer:

b. The project manager outlines the project goals

Explanation:

As the name suggests, a project kick off meeting refers to the first and foremost meeting between project manager and his team and the clients of a project when commencing a new project.

The purpose behind such a meeting is to familiarize the project team, make them better understand the project and it's requirements and agreeing upon a plan of work together to accomplish the task.

Following steps would be noteworthy for conducting an effective project kick off meeting:

The project manager prepares his team and outlines and conveys the project goals to the team members and how they are to be attained.
Beginning the project client relationship on a good note and gaining client's support.
Putting one's best efforts with a systematic planned approach for the project kick off client meeting.

7 0

3 years ago